Northern European regulators will face a battle with many shipping companies over new EU rules aimed at cutting pollution from ship fuels as some owners are likely to find it cheaper to pay fines than to comply. Ships are typically powered by heavy fuel oil or bunker oil, both of which produce harmful pollutants such as sulphur dioxide which can cause respiratory and heart problems. Such fuels contain 2.5 to 3 percent sulphur on average, which is up to 3,000 times the sulphur content of road fuel in Europe, according to marine campaigners Seas at Risk. Under EU rules from Jan. 1, 2015, all ships operating in the North Sea, Baltic Sea and English Channel will have to use a fuel with a maximum sulphur content of 0.1 percent. Ship owners can comply by changing fuels, such as to low-sulphur marine gasoil, which can cost four times as much as high-sulphur bunker fuel. Or they can use bunker fuel and fit a “scrubber”, a technology that filters out pollutant gases before they are released into the atmosphere. This costs as much as 3 million euros ($4 million) for a small vessel – often more than the value of the ship itself – and as much as 12 million euros for a larger ship, and it could take up to two years for every ship to be fitted. Another option is to use liquefied natural gas (LNG -0.29%, news), but ships would need expensive retrofitting, and there is not yet a reliable

supply chain in place for LNG. “Neither of these options (scrubbers and LNG) can easily be deployed by January 2015,” the International Energy Agency said this week. Many shipping firms have complained about the costs of meeting the regulation, saying it will damage competitiveness and lead to job losses. All ships worldwide, however, will be subject to a limit of 0.5 percent sulphur content in fuels by 2020 under rules by the International Maritime Organization, which are still subject to a feasibility review. Maersk Line, the world’s biggest ship container group, said switching to low-sulphur fuel under the EU rules will cost it an extra $200 million a year. P&O Ferries’ fuel bill will rise by 30 million pounds ($50 million) a year, which it said it would pass onto customers. “On longer routes fares will need to rise more than on shorter ones to cover the greater increase in fuel costs,” P&O Ferries Chief Executive Helen Debbie wrote in a letter to staff, which was seen by Reuters. There is also the risk that some firms will find it cheaper to pay fines for not complying with the limits than pay upfront capital costs to change fuels or fit technology. “The potential for not following the regulations is there, because you can save a lot of money. It is so significant that over time companies in compliance may not even be able to compete with companies who are not in compliance,” said Mads Stensen, global adviser on sustainability at Maersk Line. Britain-based ferry group Red Funnel has been using low-sulphur fuel for 18 years, however, and a spokeswoman said the company has maintained its competitiveness through efficiency improvements. Apart from the costs, there is also a lack of clarity about how enforcement will work. Each EU member state is responsible for deciding its own methods of enforcement including penalties, according to the European Commission. Industry sources say many countries have yet to decide on the level of fines, how to monitor the sulphur content of fuel or how often to check ships. spokeswoman at Britain’s transport ministry said the government was still in consultations on the new sulphur regime. “Repeat offenders could potentially be subject to penalties other than fines, including the detention of their vessels until such time as compliant fuel was supplied,” she said. Britain’s shipping minister, Stephen Hammond, said the government was trying to secure EU finance to compensate ship owners and ports for the higher fuel costs. Source: Reuters (By Jonathan Saul and Nina Chestney, editing by Jane Baird)

Texto comentado e imagens /Text and images copyright L.M.Correia. Favor não piratear. Respeite o meu trabalho / No piracy, please. For other posts and images, check our archive at the right column of the main page. Click on the photos to see them enlarged. Thanks for your visit and comments. Luís Miguel Correia

LUÍS MIGUEL CORREIA

LUÍS MIGUEL CORREIA (LMC) has worked as a leading author, editor and expert in shipping history and maritime photography, winning international recognition for his books, magazine articles and talks. He has been since 1995 the managing director of EIN-NÁUTICA, a tailor made maritime books publishing company from Lisbon, and prior to that was co-editor of REVISTA de MARINHA from 1980 to 1995. He now combines his work in the publishing and photographic industries with research work in international shipping and cruising. PORTUGUESE PASSENGER SHIPS is his next book. In January 2015 LMC resumed his duties as co-editor of REVISTA DE MARINHA, a classic maritime magazine published since 1937.

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LUIS MIGUEL CORREIA photos

Fotos de LUÍS MIGUEL CORREIA, salvo indicação contrária. Nenhuma poderá ser utilizada sem prévio consentimento do autor. All photos in this blog are copyright owned by Author and Photographer L. M. Correia, except those listed otherwise. Photos can not be used by third parties without previous consent from the Author / copyright owner. Texto e imagens /Text and images copyright L.M.Correia. Favor não piratear. Respeite o meu trabalho, se descarregar imagens para uso pessoal sugere-se que contribua para a manutenção deste espaço fazendo um donativo via Paypal, sugerindo-se €1,00 por imagem retirada. Utilização comercial ou para fins lucrativos não permitida (ver coluna ao lado) / No piracy, please. If photos are downloaded for personal use we suggest that a small contribution via Paypal (€1,00 per image or more). Photos downloaded for commercial or other profit making uses are not allowed. For other posts and images, check our archive at the right column of the main page. Click on the photos to see them enlarged. Thanks for your visit and comments. Luís Miguel Correia

CACILHEIROS

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SOPONATA 1947-1997

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LINER BOOKS

LINER BOOKSis a series of high quality illustrated reference books on passenger ships by noted maritime historians William H. Miller (New York) and Luís Miguel Correia (Lisbon). The following four titles in print are available from L. M. Correia at +351 967 041 525 (m.s.funchal@gmail.com). Signed copies can be provided.

SS FRANCE / NORWAY of 1962

SAVE THE T.S. HAMBURG in Hamburg

The T.S. HAMBURG of 1969 deserves preservation in her original home port of Hamburg. She is an historic ship, one of the best examples of the German shipbuilding art in the 1960s, she is mostly still in original form and well maintained, and she was a very successful cruise ship over the last 40 years. As the MAKSIM GORKIY she was the flagship of the Soviet Union mighty passenger ship fleet and she even played her part in the ending of the cold war when Presidents Mikhail Gorbatchov and Bush met onboard on 2 and 3 December 1989 off Malta. She was recently sold for scrap and is on her way to Alang. She needs a proper berth in the centre of the Port of Hamburg. Go to T.S. HAMBURG a new blog by L. M. Correia